BHP (ASX) Long Term Monthly Technicals 08/09/2015

This is the Monthly BHP Chart(First chart) and I am trying to establish where the current DOWNTREND of DAILY ( See second Chart) may END.

2008 GFC Low for BHP (ASX) was $18.12 which should also be noted. It did dot close there but rather it was an intra month weekly low. I am applying the XABC correction scenario to BHP from the April 2011 High of $45.12. If this scenario is to unfold, the current correction target for BHP is @ $18.14 suggesting further downside pressure in the short term. Specially after it goes Ex. Div. tomorrow (09/09/2015).

As we all know technicals are not concerned with fundamental reasoning as to why things happen, but rather to try and predict the future direction of the instrument in analysis by employing various technical forecasting techniques at times. Some work and some don’t. But at least we have some sort of an idea as to the potential extend of the move on hand.

I am curious as to how close we may get to $18.14 between now and Late January.

bhp monthlytct

If we look at the daily chart below, a clear downtrend and the CANDLE made on the 25th of August is marked as PST ( Preliminary Support) if Wyckoff  Method of Analysis is applied, with further analysis pending in the weeks ahead.

Please check the BLUE DOWN TREND LINE for further clues on this daily chart. Stalking as Mr Wyckoff did continues.



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